GEORGE TOWN: Chief Minister Lim Guan Eng and Penanti assemblyman Dr Norlela Ariffin are ex­­pected to be called up by the Ma­­­laysian Anti-Corruption Com­mis­­sion (MACC) to give statements over the illegal factory in Kampung Sungai Lembu, Bukit Mertajam.

MACC deputy chief commissioner (operations) Datuk Azam Baki con­­firmed that both would have their statements recorded at a suitable time.

“This is a normal procedure to call up them up as they have talked about the matter publicly.

“Their statements are needed to complete the investigations,” he said.

Sunday Star reported that the MACC is investigating two letters, which appear to have originated from state executive Councillor Phee Boon Poh, asking that no ac­­tion be taken against an illegal factory.

The letters, written in 2015 and 2016, directed the Seberang Prai Municipal Council (MPSP) from shutting down the carbon filter-processing factory which has been operating illegally for the past 10 years.

Phee was remanded five days since Saturday together with factory director Edmund Gan Eu Leong, 37, and his father Gan Buck Hee, 70, who is the factory mana­ger.

It is understood that a third MPSP officer has also been summoned to give his statement.

On Friday, two officers from the Enforcement Department and the Licensing Department were also called up.

“They were not arrested,” Azam said.

He added that the MACC also conducted several raids and seized do­cuments from Phee’s office at Kom­­tar and his house in Sungai Puyu.

Yesterday, MACC officers spent more than an hour at his service centre in Jalan Ong Yi How in Butterworth. With them was Phee.

It was learnt that the MACC also raided two of his houses in But­­terworth yesterday.

In Alor Setar, an attempt by lawyers representing Phee and two others to quash their remand order was rejected by the High Court.

Judge Hashim Hamzah told Ramkarpal Singh, R.S.N Rayer and Dev Kumaraendran that their application should have been filed at the Penang High Court as it was the “suitable forum” for the matter.

Ramkarpal said they would file an application at Penang High Court today.

The MACC and several enforcement agencies first raided the factory on Thursday following complaints from villagers that its fumes could affect their health.

Meanwhile, MCA religious harmony bureau chairman Datuk Seri Ti Lian Ker criticised DAP for “bullying and blaming” Dr Norlela for her request to the authorities to take action against the factory.

He said DAP cannot play the victim card now because Malaysians are beginning to see the party’s hypocrisy when it comes to corruption issues.

“DAP should allow the MACC to do its work without any hindrance and own up when their leaders are embroiled in corruption,” Ti said in a statement.

Transparency International Ma­­laysia president Datuk Akhbar Sa­­tar said MACC should be allowed to investigate the case professionally and fairly without fear or favour.

“Let the due process take its course and let us wait for the outcome of the investigations,” he said.

Source: The Star by Crystal Chiam Shiying and Lo Tern Chern

Teng: Norlela did the right thing - She's merely fulfilling her duty to constituents, says state Gerakan Chief

https://youtu.be/QFy-cEpbEiI

Geroge Town - State Gerakan chairman Teng Chang Yeow has defended Penanti’s PKR assemblyman Dr Norlela Ariffin, who has been voicing out concerns on the illegal factory operation in Kampung Sungai Lembu.

"What we are concerned about is that the matter had been dragged on for so long."Her complaints fell on deaf ears for so long, so you can't penalized her. "She has raised it many times, in the state assembly, to the authorities and Village Security and Development Committee, but there was no action," he told a press conference after attending the State Delegates' Conference 2017 at the state Gerakan Heeadquaters in Macalister Road yesterday.

It was reported that Dr. Norlela denied that she was responsible for the action being taken against an illegal carbon filter processing factory in Kampung Sungai Lembu.

She refuted the accusations in a Facebook post on Saturday, saying that she had highlighted complaints from her constituents.

Dr. Norlela said she was disappointed that she was blamed for the arrest of state exco member Phee Boon Poh.

Commenting on several past actions against Dr. Norlela, including having a state allocation to her constituency withheld pending her written explanation for not attending the Yang di-Pertua Negri's swearing-in ceremony in May, Teng said Gerakan may have differences with other Barisan National component parties, but it never penalized them.

He said that when Gerakan led the government, he had faced criticisms from MCA representatives but no action was taken against them.

Gerakan president Datuk Seri Mah Siew Keong opened the event. - The Star

Gerakan defends PKR's Norlela over Penang illegal factory issue

GEORGE TOWN: Penanti assemblyman Dr Norlela Ariffin should not be penalised for speaking up on the illegal factory in Kampung Sungai Lembu, said state Gerakan chairman Teng Chang Yeow today.

“Being the state assemblyman of the constituency, she had every right to raise questions about the illegal factory.

“She was merely performing her duty,” he said during a press conference here, today.

He was responding to Norlela’s claim that she was treated like a criminal after expressing her gratitude to the Malaysian Anti-Corruption Commission (MACC) for taking action against the illegal factory.

“Thank you to the MACC for solving the issues which have been plaguing the villagers there. We have been doing our best to help the villagers,” she had said in a Facebook posting recently.

She had said that in May this year, she received an 18-page petition, signed by 180 villagers, objecting against the illegal carbon filter factory.

“I raised several questions at the state legislative assembly sitting the same month. The state environment committee chairman had said the factory was burning 2,000 tonnes of sawdust monthly to be turned into activated carbon for water filters,” she had said.

On Thursday, MACC and other agencies raided the factory in Bukit Mertajam after numerous complaints to the authorities fell on deaf ears.

This was followed by further raids at the Seberang Perai Municipal Council licensing department offices and state Environment Committee chairman Phee Boon Poh’s office, service centre and houses.

Phee is being remanded for five days pending investigations into an illegal factory in Kampung Sungai Lembu in Bukit Mertajam.

He was detained after he went to MACC’s office to have his statement recorded on Friday.

Yesterday, Norlela revealed that she had been treated like a criminal since Phee’s arrest.

The Penang government will not protect any of its officials ... Chief Minister Lim Guan Eng says he believes state exco man Phee Boon ... Phee, who is in charge of the welfare, caring society and environment portfolio, was arrested yesterday by the MACC over alleged misuse of power.

Sunday, 13 August 2017

HAVE you ever grabbed an offer without any hesitation, simply because the price is too cheap to resist?

Many of us have this experience especially during sales or promotional campaigns. We tend to spend more at the end or buy things which we are uncertain of their quality when the deal seems too good to say no.

It may be harmless if the amount involved is insignificant. However, when we apply the same approach to big ticket items, it can cause vast implications.

Recently, I heard a case which reinforces this belief.

A friend shared that a property project which was selling for RM300,000 a few years ago is now stuck. Although the whole project was sold out, the developer has problem delivering the units on time.

The developer is calling all purchasers to renegotiate the liquidated and ascertained damages (LAD), a compensation for late delivery.

One of the homeowners said he is owed RM50,000 of LAD, which means the project is 1½ years late. When we chatted, we found that he purchased the unit solely due to its cheap pricing without doing much research in the first place.

The incident is a real-life example of paying too low for an item which can leave us as losers, especially when it involves huge sum of investment, such as property.

To many, buying a house maybe a once-in-a-lifetime experience, a decision made can make or break the happiness of a family.

A good decision ensures a roof over the head and a great living environment, while an imprudent move may incur long-term financial woes if the house is left uncompleted.

Nowadays, it is common to see people do research when they plan to buy a phone, household item, or other smaller ticket items.

Looking at the amount involved and implication of buying a house, we should apply the same discretion if not more.

It is always important for house buyers to study the background of a developer and project, consult experienced homeowners regarding the good and bad of a project before committing.

I have seen many people buy a house merely based on price consideration.

In fact, there are more to be deliberated when we commit for a roof over our heads. The location, project type, reputation of a developer, the workmanship, the future maintenance of the property etc, are all important factors for a good decision as they would affect the future value of a project.

Beware when a discount or a rebate sounds too good to be true, it may be just too good to be true and never materialised. If the collection or revenue of a housing project is not sufficient to fund the building cost, the developer may not be able to complete the project or deliver the house as per promised terms. At the end of the day, the “price” paid by homeowners would be far more expensive.

In general, the same principle applies elsewhere. It is a known fact that when we pay a premium for a quality product from a reliable producer, we have a peace of mind that the product could last longer and end up saving us money. Some lucky ones will end up gaining much more.

For instance, when we purchase a car, we should consider its resale value as some cars hold up well, while others collapse after a short period. Other determining factors include the specifications of the car, the after sales service, and the availability of spare parts.

Quality products always come with a higher price tag due to the research, effort, materials and services involved.

In addition to buying a house or big ticket items, other incidents that can tantamount to losing huge sums are like money games, get-rich-quick scheme, or the purchase of stolen cars or houses with caveats.

When an offer or a rebate sounds dodgy, the “good deal” can be a scam.

Years of experience tells me that when what is too good to be true, we should think twice. I always remind myself with a quote from John Ruskin (1819-1900) who was an art critic, an artist, an architect and a philosopher. “It’s unwise to pay too much, but it’s worse to pay too little. When you pay too much, you lose a little money – that’s all. When you pay too little, you sometimes lose everything, because the thing you bought was incapable of doing the thing it was bought to do.

“The common law of business balance prohibits paying a little and getting a lot – it can’t be done. If you deal with the lowest bidder, it is well to add something for the risk you run, and if you do that you will have enough to pay for something better.”

Food for thought by Alan Tong

Datuk Alan Tong has over 50 years of experience in property development. He was the world president of FIABCI International for 2005/2006 and awarded the Property Man of the Year 2010 at FIABCI Malaysia Property Award. He is also the group chairman of Bukit Kiara Properties. For feedback, please email feedback@fiabci-asiapacific.com.

Saturday, 12 August 2017

Rail link seen as game changer but cost is a concern.

TOK Bali, a fishing village in Kelantan with its beautiful sandy beaches and pristine blue waters has long been a hidden gem among well-travelled backpackers. But that may soon change. The idyllic town is one that is touted to potentially become a tourist hotspot, as it sits along the alignment of the East Coast Rail Link (ECRL), a multi-billion infrastructure project that promises many economic spin-offs.

After almost a decade in planning, ECRL was launched with great pomp this week.

Touted as a key game-changer for the east coast states of Peninsular Malaysia, the interstate ECRL is expected to help the economy of the four states that it covers by an additional 1.5% per year over the next 50 years.

On a micro level, more employment opportunities, particularly skilled jobs, will be made available to Malaysians. Domestic industry players especially in the construction sector, can now anticipate construction contracts to the tune of RM16bil, at least.

Another milstone:Najib checking out a train model at the ground-breaking ceremony this week.He called ECRL 'another milestore in the country's land public transport history".

The ECRL is expected to benefit freight transport because it would link key economic and industrial areas within the East Coast Economic Region such as the Malaysia-China Kuantan Industrial Park, Gambang Halal Park, Kertih Biopolymer Park and Tok Bali Integrated Fisheries Park to both Kuantan Port and Port Klang.

Prime Minister Datuk Seri Najib Tun Razak called it “another milestone in the country’s land public transport history”.

Despite the much highlighted economic benefits from the rail network, the venture is attracting its own share of controversies from the way the contract was awarded to the price of contract.

For one, China’s state-owned China Communications Construction Company (CCCC) has been appointed for the construction of ECRL via a direct negotiation method.

Detractors have labelled ECRL – at a cost of RM80mil per kilometre – as the world’s costliest rail project. Note that, the Gemas-Johor Baru double-tracking stretch costs RM45mil per km.

ECRL, however, will go over hilly terrain and has several tunnels to be built.

There are questions on whether the 688km rail venture, at RM55bil, will be financially feasible.

Sources say the price tag is unlikely to have included land acquisition costs.

They indicate that close to half of the land plots required for the rail link sit on private land and would require land acquisition. At this point, the total land acquisition cost is unknown.

No money in rail

The concerns of the critics are understandable, given the fact that public infrastructure projects, namely rail projects are usually not commercially viable.

A quick check on the finances of Malaysia’s very own Keretapi Tanah Melayu Bhd (KTMB) and a number of major rail operators abroad, affirms the fact that rail projects do not promise easy money.

The loss-making KTMB which was corporatised in 1992, has not been able to financially sustain itself, resulting in the deterioration of its level of service despite attempts to turn around the company.

According to the railway service operator’s latest publicly available audited report for financial year 2013, the group registered a total net loss of RM128.2mil. However, note that, the net loss had narrowed by 46% from RM238.5mil in the previous year.

Had it not been for the government’s subsidy which kept it afloat, KTMB would find it difficult to continue its operations without a further raise of its fare.

In India, where railway is a favoured mode of transportation, the Indian Railways has been incurring losses on passenger operations every year. Earlier this year, the lower chamber of the Indian parliament was told that the state-owned rail operator recorded a loss of Rs359.18bil (RM24.04bil) in the period of 2015 to 2016.

This was slightly higher than its loss of Rs334.91bil (RM22.42bil) in the period of 2014-2015.

On the other hand, China’s state-owned rail operator, China Railway Corp, was reported to have recorded a 58% increase in earnings last year despite huge losses in the first nine months. However, a zoom into its finances reveals that the high profit made was only possible due to a significant annual government subsidy.

Similarly, Singapore’s SMRT Corp which manages the city-state’s rail operations posted a profit of S$7.4mil (RM23.33mil) in its financial year of 2016. This was on the back of a revenue of S$681mil (RM2.15bil), which rose by 4.1% year-on-year.

While the rail operations saw higher ridership in that year, SMRT Corp would have registered a loss of S$9.6mil (RM30.26mil) for its rail business, if not for the net property tax refund of S$17.1mil (RM53.9mil).

Considering the lack of commercial viability in such rail projects, ECRL would ultimately require assistance from the government in ensuring smooth operations, while maintaining an affordable service for its users. This is akin a crucial trade-off, to complement the government’s move to provide an integrated transportation system in Malaysia, which is long overdue.

AmBank Group’s chief economist Anthony Dass tells StarBizWeek that for every ringgit spent on capital projects such as transportation, it generates a return or multiplier effect of around 5% to 20%.

In his estimation, he says the ECRL should create around RM50-55bil in terms of gross domestic product.

“The impact of this project to the economy will be multilevel. Impact on the respective states’ GDP and national GDP will be evident, though the magnitude of the impact on the respective states is poised to vary.

“On a longer term, once the entire project is completed, we expect strong benefits seeping into services related activities. Properties in the major towns is likely to enjoy more especially the port-connected towns, driven by logistics- and trade-related businesses.

“Other areas would benefit from the movement of tourism. As for the smaller towns, they are more likely to enjoy from the spillovers of this connectivity through movement of people commuting to work and new areas of business growth especially in areas like the small and medium businesses,” says Anthony.

High cargo projections

By the year 2040, an estimated 8 million passengers and 53 million tonnes of cargo are expected to use the ECRL service annually as the primary transport between the east coast and west coast.

By 2040, ECRL is projected to support a freight density of 19 million tonnes.

The freight cargo projections of the rail network stands in stark contrast to the total cargo volume running through the entire Malaysian railways today.

As of 2015, the entire Malaysian railways operations handled a sum of 6.21 million tons of cargo, according to a study related to the ECRL.

To note, the revenue from the operation of the venture is projected to be obtained through a transportation ratio of 30% passengers and 70% freight.

If the projections of ECRL are anything to go by, the planners are anticipating a ballistic growth in volume of cargo being moved along the tracks.

“While ECRL has been identified as a high impact public transport project that will connect east coast states with the west coast, especially Greater KL and Klang Valley, the high cost of RM55bil requires further justification. More clarity on the cost structure and terms and conditions of the loan is needed to ease public genuine concerns.

“It must be noted that the high costs, low profits and long gestation periods of transportation projects do not always make them financially viable. The financial viability of the ECRL would depend on the revenue generated to cover operating cash flow, including interest expenses.

“As the loan will have a seven year moratorium, the bunching of loan repayment together with interest payment will be substantial in the remaining 13 years,” he says.

Lowering cost the key

In terms of funding, 85% of the total project value of RM55bil would be to be funded by Exim Bank of China’s through a soft loan at a 3.25% interest.

The balance 15% would be financed through a sukuk programme by local banks.

There is no payment for the first seven years, and the government starts paying after the seventh year over a 13-year period.

At 3.25% interest per annum, the interest servicing bill for the project is huge.

“Hence the main challenge to this project will be to bring down cost as low as possible. The lower the cost, the lesser it would be the burden on the government’s balance sheet,” says an industry player.

Echoing a similar view, Lee noted the ERCL project loan is expected to be treated as “contingent liability” as it will be taken by Malaysia Rail Link Sdn Bhd, a special purpose vehicle owned by the Ministry of Finance.

This is also to ensure that the Federal Government will not breach the self-imposed debt to GDP ratio of 55%.

As at end-March 2017, the Federal Government’s debt stood at RM664.5bil or 50.2% of GDP.

At the end of the day, despite the concerns on the possible cost overrun in the ECRL project, proper management and efficiency in project delivery could lead to cost savings and ultimately lower overall expenditure for ECRL.

History has shown that Malaysian companies can lower the cost, especially on rail projects compared to foreign players.

In the late 1990s, a consortium of India and China state-owned companies were awarded the contract to build a double track electrified railway system from Padang Besar to Johor Baru. The cost was estimated at RM44bil and paid through crude palm oil.

However, an MMC Corp Bhd-Gamuda Bhd joint venture managed to win the job in 2003 with a RM14.3bil proposal. However this project was shelved and subsequently continued after a lull of few years.

ECRL is a seven year project to be built in stages. Many factors can come into play in that period like delay in construction and rise in material costs.

However in the bigger picture, the infrastructure venture should not merely be seen from a commercial-viable lens alone. The trickle-down benefits on the economy and the Malaysian population should also be factored into the calculations.

For 10 years, a factory has been illegally burning sawdust to produce carbon for filters, forcing villagers and schoolchildren in parts of Bukit Mertajam to breathe dust-laden smoke every day. The matter has now flared up with the arrest of Penang exco man Phee Boon Poh and two of the factory’s directors by the MACC. All three are set to be remanded today.

GEORGE TOWN: An illegal carbon filter processing factory has become a burning issue in Penang with the arrest of state executive councillor Phee Boon Poh and two factory di­­rectors by graft-busters from the Malaysian Anti-Corruption Commis­­sion (MACC).

All three are expected to be remanded today.

The factory in Kampung Sungai Lembu in Bukit Mertajam was in the news on Wednesday when MACC officers raided its premises and seized several documents.

Yesterday, a team of five MACC officers raided Phee’s office at Level 53 in Komtar at about 11.30am and took away more documents.

Phee, who chairs the state Wel­­fare, Caring Society and Envi­­ron­­ment Committee, was asked to report to the Penang MACC headquarters in Jalan Sultan Ahmad Shah. He was arrested at 3.30pm when he turned up at the MACC building.

MACC deputy chief commissioner (operations) Datuk Azam Baki said Phee was detained under Section 23 of the MACC Act for abuse of power.

The section provides for a jail term of up to 20 years and a fine of up to five times the value of the bribe or RM10,000, whichever is higher.

The 66-year-old Phee was brought back to his house in Butterworth at about 5pm in his car and escorted by two MACC vehicles. It is learnt that he packed some personal be­­longings from his house before lea­­ving for the state MACC headquarters at 7.05pm.

The MACC also arrested a 70-year-old man and his 37-year-old son, the manager and director of the factory, at 6.05pm and 6.35pm respectively.

The two were summoned to the state MACC headquarters to give their statements before they were detained.

Lawyer R.S.N. Rayer, who accompanied Phee to the Penang MACC headquarters, said the exco man was asked to meet MACC officers after 2pm.

“I was informed that they (MACC officers) went to his office and took some documents including letters that he wrote. They wanted to re­­cord his statement regarding the documents.

“He gave his full cooperation and presented himself at the MACC office. I am surprised that he was arrested,” he said before leaving the state MACC building at about 4.30pm.

Earlier, the five MACC officers spent more than an hour in Phee’s office.

Shortly after they left, Phee and four assistants walked out of the office.

Phee declined to comment on the raid.

He is the second member of the current Penang state administration to be arrested by the MACC.

Chief Minister Lim Guan Eng was arrested in June last year over the purchase of a RM2.8mil bungalow in Pinhorn Road.

He was subsequently charged with using his position as the Chief Minister of Penang to gain gratification for himself and his wife, Betty Chew Gek Cheng, by approving the application for conversion of agriculture land to a public housing zone in south-west Penang to the com­­pany, Magnificient Emblem Sdn Bhd.

He allegedly committed the of­­fence while chairing the Penang State Planning Committee meeting at the operations room in the Komtar building on July 18, 2014.

The charge under Section 23 of the MACC Act 2009 provides for imprisonment of up to 20 years and a fine of up to five times the sum or value of the bribe, or RM10,000, whichever is higher, upon conviction.

Lim faces a second charge of using his position to obtain a plot of land and a bungalow located at No 25 Jalan Pinhorn, George Town, on July 28, 2015, from businesswoman Phang Li Koon for RM2.8mil, a price which he allegedly knew did not commensurate with the property’s market value at the time of RM4.27mil.

The charge, under Section 165 of the Penal Code, provides for a jail term of up to two years or a fine, or both, upon conviction.

Late last night, Lim was among several DAP leaders and members who turned up outside the state MACC headquarters to stage a candlelight vigil in support of Phee.

10 years of smoke in the eyes for villagers

BUKIT MERTAJAM: For about 10 years now, the villagers of Kampung Sungai Lembu have been forced to breathe air laden with pollutants. Children going to school at SJK(C) Kampung Sungai Lembu also have had to put up with the thick dust.

The air is thick with a burning smell from the processing activities at an illegal carbon filter processing factory, just 1km away from the school.

The 5,000sq-m factory, about the size of a football field, has piles upon piles of sawdust, much of it burning in deep pits.

The tall chimneys spout white pollutant-filled smoke into the air which is carried to the nearby villages by the slight breeze.

A source from the Department of Environment revealed that the factory also did not have an air pollution control system.

Kampung Sungai Lembu Deve­lop­ment and Security Committee chairman Tan Sing Lee, 58, said the factory also carried out open burning of sawdust to produce carbon.

“Every time the wind blows our way especially in December, the air is polluted. At night, the air is foggy and villagers complain about the smell,” he said.

“We reported the matter to Penanti assemblyman Dr Norlela Ariffin but no action was taken in the past two years,” he said.

The factory is also situated inside an oil palm estate, on land designated for agriculture.

Tan claimed a man in his 30s died in 2015 after he fell into one of the pits while filling it with sawdust.

A check by The Star at the factory yesterday found 20 pits, each measuring about 3m across. The pits were filled with burning sawdust and there was smoke everywhere. The sawdust is burnt to produce carbon which is then used in filters.

Permatang Pauh Umno chief Da­­tuk Mohd Zaidi Mohd Said claimed there may have been people in­­volved in covering up the issue before the raid on the factory by the Malaysian Anti-Corruption Commis­­sion (MACC) on Thursday.

“Several reports have been lodged against the factory.

It is impossible for the Seberang Prai Municipal Council to not be aware of it,” he said during a press conference in Kampung Sungai Lembu.

PKR rep Norlela glad over action against illegal factory

BUKIT MERTAJAM: Penan­ti’s PKR assemblyman Dr Norlela Ariffin (pic) is pleased that action is finally being taken by the MACC over an illegal factory in Kampung Sungai Lembu.

Dr Norlela said she raised the issue of the carbon filter processing factory more than two years ago. “The villagers told me about their concerns in February 2015. I raised the matter at the state assembly sitting but no ac­­tion was taken for two years,” she said.

It was in November that Dr Norlela broke down and sobbed uncontrollably at the assembly, clai­­ming the state government had failed to respond to her queries.

She lamented then that she had complained of many woes like illegal factories, frequent flooding and the lack of infrastructure like roads and proper jetties for fishermen.

“Early this year, before the state assembly sitting, villagers handed me an 18-page petition, appealing for the factory to be closed as they claimed it was affecting their health.

“It was also found that the factory was not operating according to guide­­­­lines,” she said yesterday.

In May, her allocation was withheld after she did not show up at the Yang di-Pertua Negri’s swearing-in ceremony.

Earlier this month, she complained that funds collected for flood mitigation had not been used to help her constituents.

“In Penanti alone, there are nine flood-prone areas that could greatly benefit from these funds,” she re­­portedly said, citing the Auditor Ge­­­ne­­ral’s Report 2016 Series 1 which revealed that the Seberang Prai Municipal Council had only used RM2.2mil of RM63.39mil collected from 2008 to June 2016.

Dr Norlela is among several as­­sem­­blymen who have been at loggerheads with the state leadership, often criticising it for not carrying out its duties or for not caring about the environment,

Last month, she praised the Sungai Buloh-Kajang MRT project and took a swipe at the Penang Transport Master Plan by comparing the construction cost of both projects in a video she posted on social media.

DAP's lone ranger faces his biggest test

GEORGE TOWN: Two-term Pe­­nang executive councillor Phee Boon Poh, 66, gained fame as a vocal opposition leader when he took on 38 Barisan Nasional representatives in the state assembly when he was the sole DAP assemblyman from 2004 until 2008.

Despite being overwhelmed, the “lone ranger” raised many issues.

Although PAS was represented by Mohd Hamdan Abdul Rahman, it was Phee who questioned the policies of the state administration headed by Tan Sri Dr Koh Tsu Koon.

Phee began his political career by winning the Bagan Jermal state seat in 1990, only to lose it to Barisan’s Tan Sri Dr Sak Cheng Lum in 1995.

In 1999, he contested the Sungai Puyu seat but lost to Barisan’s Loo Ah Dee. In 2004, he wrested it from Loo with a 607-vote majority.

In 2008, he retained his state seat with a 9,201-vote majority and was appointed state Welfare and Caring Society chairman.

He later took over the environment portfolio from state exco member Chow Kon Yeow.

In the 2013 general election, he beat MCA’s Sum Yoo Keong by 16,207 votes.

Phee is a distant relative of businesswoman Phang Li Koon, who has been charged with abetment in the two corruption cases against Chief Minister Lim Guan Eng.

Phee Boon Poh mobbed by the media after he was remanded in George Town. — ZAINUDIN AHAD and ZHAFARAN NASIB/The Star

PENANG: The Malaysian Anti-Corrup­tion Commission (MACC) is investigating two letters, which appear to have originated from state executive councillor Phee Boon Poh, asking that no action be taken against an illegal factory.

The letters, written in 2015 and 2016, directed the Seberang Prai Municipal Council from shutting down the carbon filter-processing factory which had been operating illegally for the past 10 years.

The MACC is also investigating whether Phee or his officials had authorised the letters telling the council to back off.

As Phee and two of the company’s directors were remanded yesterday, the MACC is expected to call up a DAP state assemblyman for questioning.

The MACC is believed to be investigating the role of this state assemblyman in the case.

It is understood that MACC is also probing the relationship between Phee and the factory owners.

It wants to find out how the factory could operate openly despite complaints from the villagers nearby.

“The illegal factory is on an agro-based land. (We want to know) why it has been able to operate without any action (taken against it),” a source told Sunday Star.

Too close for comfort: The illegal carbon filter-processing factory still operating and its proximity to Kampung Sungai Lembu and surrounding areas near Bukit Mertajam.

When contacted, MACC deputy chief commissioner (operations) Datuk Azam Baki said the anti-graft body will carry out a thorough probe and look into all angles.

Azam said investigations will focus on the element of abuse of power.

“We have opened an investigation paper under Section 23 of the MACC Act.

“We will look into whether one of the suspects has given (any form of) protection to the illegal factory to enable it to continue operating the last 10 years,” he said.

He declined to elaborate further as investigations were ongoing.

Sources said anti-graft officers revisited the house of the state exco member in Sungai Puyu on the mainland to look for more evidence to assist in the probe.

It is not immediately known if documents were seized.

The homes and offices of two other suspects will also be revisited as part of the probe.

More arrests are expected in the coming days as investigations into the case widen.

The Penang government will not protect any of its officials ... Chief Minister Lim Guan Eng says he believes state exco man Phee Boon ... Phee, who is in charge of the welfare, caring society and environment portfolio, was arrested yesterday by the MACC over alleged misuse of power.

Friday, 11 August 2017

KUALA LUMPUR: Malaysia needs to reinvent its education system to adapt to the knowledge economy, which has led to a sharp reduction in unskilled jobs and spike in demand for data analysts.

Tan Sri Andrew Sheng, Distinguished Fellow of Asia Global Institute, University of Hong Kong, said Malaysia needs to retool its education and skills, and experiment across the spectrum, in positioning itself in the new economy.

“Formal education is outdated because of the speed of new knowledge. Companies do not spend on ‘on the job’ training, because of cost cuts and staff turnover,” he said during his presentation at the NCCIM Economic Forum 2017 yesterday.

Between 2007 and 2015, the loss of unskilled jobs was 55% relative to other jobs while demand for data analysts over the last five years has increased 372%.

In the global supply chain, old economy companies are quickly losing their edge as digitisation moves faster than physical goods while unskilled jobs will be quickly replaced by robotics due to the fast adoption of artificial intelligence (AI).

“Moving up the global value chain is about moving up knowledge intensity. If you don’t get smarter you won’t get the business.

“We are already plugged into the global value chain. We are very successful in that area but we cannot stay where we are. Remaining still is no longer an option. We need to move from tasks to value added growth to high value added production. In order to do that, we need to learn to learn.”

Sheng said the Malaysian economy is doing well but faces many challenges, including subdued energy prices, growing trade protectionism, geopolitical tensions and is still very reliant on foreign labour.

“Are we ready for the new economy? The way trade is growing is phenomenal but the new economy’s challenges are great and very complicated politically because technology is great for us as it gives us whatever we want but at the cost of our jobs,” he said.

When education fails to keep pace with technology, the result is inequality, populism and major political upheaval.

“What the new economy tells us is that robotics or AI (artificial intelligence) calls for Education 4.0, which means that we have to learn for life,” he said.

Sheng noted that Malaysia has successfully moved quietly into education services, medical tourism, higher quality foods, all through upgrading skills, branding and marketing.

“But formal education has become bureaucratised, whereas we are not spending enough on upgrading our labour force, prefering to hire imported labour,” he said.

Although Malaysia cannot compete in terms of scale and speed, especially against giants such as China, it can compete in terms of scope with strength in diversity, soft skills and adaptability.

“We are winners ... but have we got the mindset?” Sheng questioned.

He said Malaysia must upgrade its physical technology through research and development, harness its unique social technology and digitise its business model in order to create wealth.

While the government can help, he added, true success comes from community self-help irrespective of race or creed, and retired baby boomers who have wealth of experience must mentor the youth to start thinking about the new economy.

MALAYSIA should leverage on social technology, which is its true strength, ... Tan Sri Andrew Sheng, who is a distinguished fellow at Asia Global Institute, ... the new economy as it involves lifelong learning to adapt, innovate and create. ... To enhance the skills of the civil service, he pointed out Singapore's ...

Hard lesson: After settling his assessment arrears, Chua Yung Lin, 37, finally receives the key (inside envelope) to unlock the chain used to seal up his unit at Taman Seri Hijau in Van Praagh Road, Penang. (Above) A closeup of the notice from the council pasted on the grille gate. — CHARLES MARI ASOOSAY/The Star

A SALESMAN is furious that his apartment unit was padlocked by the Penang Island City Council (MBPP) because he failed to pay two years of assessment arrears amounting to RM468.86.

A council official, however, defended the action, saying that MBPP was empowered to do so under the Local Government Act 1976 if a ratepayer failed to pay a year’s assessment.

Chua Yung Lin, 37, got the keys to the padlock when he paid up the arrears as well as the RM111.86 second half assessment for this year and a RM20 penalty in Komtar on Wednesday after a neighbour informed him a day earlier that the MBPP had sealed the unit.

But he is adamant in not unlocking the padlock himself, saying that the council should do so as its officials were the ones who locked up the unit.

“They gave me all the keys to the padlock and when I asked them if I needed to return the chain and padlock, they told me I could keep them,” Chua told reporters outside the unit at Taman Seri Hijau in Van Praagh Road, Penang, yesterday.

He lodged a police report on Wednesday to inform the police that he had settled the arrears and for his safety should he decide to unlock the place himself.

Chua, who has been renting out the unit for the past three years, said it was dangerous for MBPP to padlock the unit as there could be someone inside who would not be able to escape should there be an emergency.

“Thankfully, there was no one in the apartment as I think my tenants have gone out of town,” he added.

He claimed to have forgotten to pay the assessment because his tenants did not inform him of the bills.

Penang Gerakan vice-chairman Lee Boon Ten said MBPP had acted prematurely and could be charged with criminal negligence for sealing the gate of an occupied home.

“He only owed them a nominal amount. If someone was inside the apartment when they locked it, it would have been false imprisonment,” said Lee who was also present.

MBPP treasury revenue unit head Suhaida Kamalul Ariffin said Section 148(3) of the Local Government Act 1976 empowered the council to seal premises whose owners defaulted in a year’s assessment payment but the council usually only did so after the arrears were accumulated for two years.

“We can actually break down the door and seize the belongings inside. If we don’t do that to avoid destroying the door, we will seal the premises as an indication to the owner. This is however only carried out after we have checked to see if anyone is inside.

“Only after we are sure it is unoccupied, do we seal the premises,” she said when contacted yesterday.

Suhaida also said the council pasted a notice demanding the owner to settle the arrears on the unit’s grille gate in May.

“There was no response, leading us to seal the apartment. Once payment is made, we usually give the owner the keys to the lock as it is standard procedure to let them unlock it themselves,” she said.

Thursday, 10 August 2017

Boom time is here for railway towns, little places that dot the route of the RM55bil East Coast Rail Link from Port Klang to Kota Baru. Not only will the link shorten travel time between the west and the underdeveloped east of the peninsula, it will also unlock huge economic potential, create thousands of jobs and bring down the country's carbon footprint. And it could all happen sooner than expected.

KUANTAN: Exciting days are ahead for the many small towns that dot the route of the East Coast Rail Link (ECRL) from Port Klang to the Kota Baru.

A host of towns including Bentong, Mentakab, Maran, Kuantan, Cherating, Chukai, Dungun, Kuala Terengganu and Tok Bali and Kota Baru, all of which are designated as ECRL stations, are looking at boom times ahead.

The ECRL will also benefit freight transport as it will link key economic and industrial areas within the East Coast Economic Region such as the Malaysia-China Kuantan Industrial Park, Gambang Halal Park, Kertih Biopolymer Park and Tok Bali Integrated Fisheries Park to both Kuantan Port and Port Klang.

https://youtu.be/uP2Wa6BfQVk

Prime Minister Datuk Seri Najib Tun Razak called it “another milestone in the country’s land public transport history”.

With its slogan of “Connecting Lives, Accelerating Growth”, Najib said the project sets the tone for an economic spin-off effect and positive social impact for the east coast states.

“The ECRL is a high impact project that will provide easy access from the Klang Valley to Pahang, Terengganu and Kelan­tan.

“The 688km rail link will be a catalyst for economic equality between the west coast and east coast as it will stimulate investments, spur commercial activity, create ample jobs, facilitate quality education and boost tourism in the states of Pahang, Terengganu and Kelantan,” he said at the ground-breaking ceremony here yesterday.

Najib also urged local contractors with capabilities and know-how to seize the opportunity to take part in the project.

“We have together with our Chinese counterpart agreed that Malaysian contractors will be involved in at least 30% of this high impact project,” Najib said.

“The viability of the ECRL is undisputed as it is estimated that 5.4 million passengers and 53 million tonnes of cargo will use the service annually by the year 2030 as the primary transport between the east coast and west coast.

“Comparatively, revenue from the operation of the ECRL project is projected to be obtained through a transportation ratio of 30% passengers and 70% freight.”

Najib said the project was long overdue as the east coast states of the peninsula had only been connected to the west coast via a network of roads, highways and woefully inadequate rail lines.

Najib also urged local contractors with capabilities and know-how to seize the opportunity to take part in the project.
“We have together with our Chinese counterpart agreed that Malaysian contractors will be involved in at least 30% of this high impact project,” Najib said.

“The viability of the ECRL is undisputed as it is estimated that 5.4 million passengers and 53 million tonnes of cargo will use the service annually by the year 2030 as the primary transport between the east coast and west coast.

“Comparatively, revenue from the operation of the ECRL project is projected to be obtained through a transportation ratio of 30% passengers and 70% freight.”

Najib said the project was long overdue as the east coast states of the peninsula had only been connected to the west coast via a network of roads, highways and woefully inadequate rail lines.

The railway line, with 12 passenger-only stations, three freight stations and seven combined passenger-freight stations, is expected to increase the gross domestic product of the east coast states by 1.5%.

China’s state-owned China Communications Construction Company has been appointed for the construction of the RM55bil project.

Malaysia Rail Link Sdn Bhd is the special purpose vehicle under the Minister of Finance Incorporated tasked as the project owner.

Rail link a huge economic boost - ECRL project set to create over 80,000 jobs and promote businesses along its route

KUANTAN: The economic impact of the East Coast Rail Link (ECRL) is huge and critics who say it is not feasible are wrong.

“There will be a multiplier effect. When there are more business people, we can get more taxes and government revenue will increase,” Malaysia Rail Link (MRL) chairman Tan Sri Dr Mohd Irwan Serigar Abdullah said.

He said critics must also look at the development that would take place alongside the ECRL in the long run.

China Communications Construction Group chairman Liu Qitao said the ECRL project was of great economic significance.

“It will promote social development and improve the living standards of those along the railway line, especially in the east coast,” he said.

Liu said that the rail link was also expected to generate more than 80,000 jobs for Malay­sians during its construction period.

Another 6,000 jobs will be created during the rail’s operation and the Chinese government will also train more than 3,000 Malaysian students.

A total of 3,600 graduates will be trained in rail technology through the ECRL Industrial Skills Training (PLKI-ECRL) programme.

Its chief coordinator Prof Dr Rizalman Mamat said about 1,000 applications had already been received as of yesterday.

“The first intake of 50 participants will begin in September with the next intake of 250 scheduled in December.

The next batch of 700 trainees will be in April next year.

“The programme will be focused specifically on the socio-economic development of the east coast but this does not mean those in the west coast cannot take part.

Dr Rizalman said the training was open to graduates who majored in civil engineering, mechanical engineering and electrical engineering.

He added that Universiti Malaysia Pahang (UMP) had been appointed as the focal university for the implementation of the programme, with cooperation from Beijing Jiaotong University and Southwest Jiaotong University and other institutions of higher learning in Malaysia.

He said railway technology was developing rapidly and the programme was a stepping stone for UMP to develop rail engineering in the future.

The training under the programme will take four to six months, said Dr Rizalman.

China state councillor Wang Yong said ECRL was a landmark project for China and Malaysia.

“The team from our two sides have had productive cooperation. This is a full demonstration of the friendship between China and Malaysia and its efficiency,” said Wang.

MRL project director Yew Yow Boo said the railway would have 88.8km of viaducts mostly in Kelantan and Terengganu to bypass flood-prone areas.

Yew said the first phase would have a total length of 49km of tunnels at 19 locations with the longest being 17.9km connecting Bukit Tinggi and Gombak.

Source: The Star/ANN

Liow: Do not politicise the ECRL

KAJANG: The East Coast Rail Link (ECRL) is created for the people and country, and should not be politicised or turned into a racial or language issue, says Transport Minister Datuk Seri Liow Tiong Lai.

“I would like to emphasise that the ECRL is one of the most important projects for the nation.

“It’s a game changer for the east coast. It is for the country’s economic development and to help us reach greater heights.

“The theme is very clear, we’re pushing for connecting lines and accelerating growth,” he said after attending Universiti Tunku Abdul Rahman’s 15th anniversary celebration at its Sungai Long campus here yesterday.

The RM55bil ECRL from Port Klang to Kota Baru, which is 534.58km long, is estimated to be completed in 2024.

Liow cautioned actions that could harm good bilateral ties between Malaysia and China were counter-productive.